(Photo © Brewers Association)

While not as brutal as 2022, last year was not a great year for beer, especially craft beer.

In December the Boulder, Colorado-based Brewers Association, the not-for-profit trade association that advocates on behalf  small and independent American craft brewers, looked back at a “Year in Beer” that many would rather forget.

And  if there was one takeaway from Brewers Association’s year-end recap it was this…

“Challenges continue in a mature and competitive market”

“While many individual businesses are struggling, there is good news in the continued overall popularity of the category,” said Bart Watson, chief economist, Brewers Association. Supply chain issues which plagued the beer industry in 2022 moderated somewhat in 2023, but climate change and persisting disruptions challenged brewers throughout the year.

Other insights from the BA’s “Year in Beer” recap include:

• The 2023 North American barley harvest was larger than in 2022 but still below the five-year average
• Barley quality issues persisted, particularly in the Canadian prairie provinces and parts of Montana, where precipitation remained below average and temperatures stayed above normal
• In the US, hop acreage strung for harvest decreased due to the large volume of hops in inventory, but growing conditions produced above-average yields in most varieties
• Climatic conditions continued to be challenging in Europe, with the quantity of hops harvested remaining well below average
• The supply of CO₂ stabilized somewhat, but spot shortages continued to affect some regions

“The maturing craft industry continues to grow more competitive, facing both internal business pressures and externally the continued growth of new beverage alcohol competitors, “Watson added. ”Yes, things are more challenging, but independent brewers still sell more than one out of eight beers in the United States.”

“Beer drinkers spend roughly one out of four of their beer dollars on a beer from a small and independent brewer; and the industry remains a source of jobs and community across the country.”

View the complete 2023 Year in Beer report here.